iCharts Discussions

[Trade Master]

Hi All

From today, I am starting another topic, Trading based on combination of Bollinger Bands + RSI only. (My another trade confirmatory apart from TRD, which is already discussed in other topic.)

The couple-indicators are used for Swing Trades here, which need only 2-3 checklists before entering/exiting the trade.

The charts one can use for this is Charts (premium) of I-charts, one of the best and regular one which I use !!

Firstly, Take Bollinger Bands as upper indicator and modify it's default settings from 20,2 to 17,2 (17 MA is the punch here!!)

Secondly, in lower indicators, set RSI two times, one with default value 14 and other one change to 2.

(The 1-year chart attached for refference here)

Trading System--

1.) Whenever, the EOD candle goes almost 40% outside the Bollinger Band limit (means if on a day the candle goes outside the BB limit as if almost half the candle is inside the BB and half the candle is outside, go for opposite trade towards closing session of that particular day for Swing trade to be caaried for 1-2 days...The next EOD candle HAVE to come very much inside the BB limit as per my strategy !!! (1-2 days on the max .)

2.) Bollinger Band EMA we had changed from 20 to 17, and if u check the chart below, see how this HAS turned to be a great SUPPORT/ RESISTANCE max times !!!

3.) RSI 14 is default, which gives the WIND DIRECTION of Market..All tech lovers must be aware of RSI 14, so no need to go in deep of this.

4.) RSI 02 !!!!!!!!! Well, here comes another GREAT thing..Check the charts 1st and u'll come to know its power !! This is what with which u'll get immediate trend unlike RSI 14, which is laggard. For swings, one need not trade based on laggard indicator, but should take confirmation of the WIND only.... RSI 02 above 80 and when it falls back from higher
level to 80 again, go Short immediately and vice-versa with RSI 02 below 20 for going long...With target of 20 levels if u r short and target of 80 levels if u r long...

Recommendations/ Queries/ Suggestions are most welcomed from the readers.

Thanx
TM

[san77s]

TM Sir,
Thanks for this new method and i follow your TRD, MACDO combine.
In your post you given a yearly chart and i request you to add a nifty chart with last 3month one with your marked probable trade.
That picture speak more clear about this new method of trade.

Thanks & Regards,
S.Saravanan.

[Trade Master]

[bhuvikarthi]

Another Master piece from Trend (Trade) Master..

Keep up master..

Way to go !!!

[NORBE_1958]

Can this method be used for day trades,if not could you recommend
one

[Trade Master]

[sandew]

Trade Master,
Hi,

1. For Intraday NIFTY, do you recommend to keep same BB(17,2) with rsi(2), rsi(14) and ema(17) or you want to fine tune these parameters.

2. Important on what Time Frame will this strategy work on intraday basis.

Thanks
SanDew

[Trade Master]

[gauravbhatia]

Good work Sir...way to go

Based on the strategy, if nifty recovers some of the points(atleast 50) it lost today, then we could intiaite a long there ? PLs confirm..

[neemtree]

All of sudden there are no discussions on this subject.

I have a question on this strategy. Is there a way that we can use stop loss for this kind of strategy ?

Thanks,
Srinivas

[0114]

resected all,
i want to know about swing trading,and laws and techniques of swing trading kindly help me out

regards
kaustubh bedekar
nagpur
09225238913

[mrvishal_g]

Hi TM,

I have to confirm, that i m understanding your stategy correctly.

As per u, when a EOD candle is 40% to 50% outside the upper line of BB then we should short it or vise a versa.
while generally in this kind of case we think stock is very bullish.

Please clarify i m understanding correctly or rectify me.
If i m right then Sterlite should be shorted today.( or also tom near 180 )

Vishal

[MANUBINDRA]

Hi,

TM,

worked with your setup on swings, it is excellent, thanks a lot, just one query is how to find such stocks any parameters in screener eod?

thanks once again.

M.Bindra